The bill amends Arkansas Code 8-7-907 regarding payments for corrective actions related to petroleum storage tanks. It establishes that no payment from the Petroleum Storage Tank Trust Fund will be made until the owner or operator has expended a deductible set by the Arkansas Pollution Control and Ecology Commission, replacing the previous fixed amount of $7,500. The bill clarifies that this deductible is intended to function similarly to an insurance policy deductible. Additionally, it mandates that owners or operators must demonstrate financial responsibility for this deductible amount.

Furthermore, the bill outlines that the deductible amount incurred before receiving payment for corrective action will be determined by rules established by the division, with input from the Advisory Committee on Petroleum Storage Tanks, and will not exceed $30,000. It also allows for the Arkansas Pollution Control and Ecology Commission to set a deductible greater than $7,500 but not exceeding $30,000 for specific violations of rules, with the possibility of differentiating the deductible based on the nature of the violation.

Statutes affected:
Old version HB1277 V2 - 3-18-2025 10:43 AM: 8-7-907(a), 8-7-907(d)
Old version HB1277 Original - 1-28-2025 10:59 AM: 8-7-905(d), 8-7-907(a), 8-7-907(d), 8-7-907
HB 1277: 8-7-905(d), 8-7-907(a), 8-7-907(d), 8-7-907
Act 706: 8-7-907(a), 8-7-907(d)